EXTENSION OF OFFER FOR KIMBERLEYBack
15 Nov 2007
Further to the announcement by Gem Diamonds on 8 November 2007 of the decision by the Company's Board to extend the Offer Perio from the previously indicated closing date of 16 November 2007 to 23 November 2007 for the cash offer for 100 per cent of the issued share capital of Kimberley Diamond Company NL ("Kimberley"), the Board of Gem Diamonds has elected to further extend the Offer Period to 1 December 2007.
As at the close of business on 14 November 2007, Gem Diamonds Australia Pty Limited (a 100% held subsidiary of the Company) held a relevant interest of 50.52% in Kimberley and had received acceptances in respect of a further 24.28% of Kimberley under the Company's institutional acceptance facility, bringing the total to 74.80%. Gem Diamonds' Board remains committed to completing the Offer in the shortest possible time frame.
As detailed in the announcement by Gem Diamonds on 8 November 2007, in the interest of encouraging Kimberley shareholders to accept the Offer, Gem Diamonds has undertaken that it will waive all outstanding conditions to the Offer, to the extent that they have not already been met, when the minimum acceptance condition is satisfied.
Definitions used in this announcement shall have the meanings given to them in the shareholder circular posted 28 September 200, except where context requires otherwise.
For further information:
Gem Diamonds Limited
Tel: +44 203 043 0280
Gem Diamond Technical Services (Pty) Limited
Tel: +27 82 418 8735
Tel: +44 207 743 6376
About Gem Diamonds:
Gem Diamonds is a diamond mining company with a balanced portfolio of a producing kimberlite mine, two producing alluvial mines, development projects and longÃ¢â¬Âterm prospects. Established in July 2005, Gem Diamonds is pursuing an accelerated growth strategy and aims to become one of the worldÃÂ¹s leading diamond companies. Gem Diamonds currently has one producing kimberlite mine, LetÅ¡eng, in Lesotho, two producing alluvial mines Ã¢â¬Â Cempaka in Indonesia and Mbelenge in the Democratic Republic of Congo (DRC), a kimberlite development project in Botswana, two development projects in the DRC, one in the Central African Republic and an option to develop the Chiri kimberlite concession in Angola.
The Company recently made an offer to Kimberley Diamond Company's shareholders to acquire their shares in this company, which owns the Ellendale Mine in north Western Australia, and which was approved by Gem Diamonds' shareholders at an Extraordinary General Meeting on 16 October 2007.
Gem Diamonds currently has a specific focus towards higher value diamonds, a segment of the market that its management believes will deliver superior long term returns.
For further information about Gem Diamonds visit www.gemdiamonds.com.